Recently released figures indicate real estate nationwide and Santa Cruz real estate are continuing to steadily improve. Here are seven signs that demonstrate the upturn:
1. Housing affordability has risen dramatically. This is due to a combination of reduced real estate prices and record-low mortgage rates.
2. Housing starts are increasing, driven mostly by multifamily starts.
3. Existing home sales increased in January. That means we’ve now had three months of gains out of the past four months.
4. Total housing inventory fell to a 6.1 month supply at the end of January. This means that on average it now takes just over 6 months to sell a home, which is an improvement. According to Lawrence Yun, NAR chief economist, "The broad inventory condition can be described as moving into a rough balance, not favoring buyers or sellers."
5. There are plenty of home buyers and investors competing for foreclosure sales in almost all markets.
6. Purchases of homes are on the rise by all types of buyers, from seasoned investors to first-time home buyers.
7. Most economists agree that the market is improving. Frank Nothaft, Freddie Mac vice president and chief economist says, “Our outlook anticipates gradual, but steady, improvement in the economy and the housing market, supported by low interest rates and brightening job market prospects.”
This is excellent news for the spring and summer Santa Cruz real estate season that’s just around the corner. If you’ve been considering buying or selling a home, now’s the time to start that process so you’re ready for the hottest season we’ve seen in years.
Thinking about buying or selling Santa Cruz real estate? Please contact me today at Lauren@Laurenspencer.com or 831.662.6522. I can help you achieve your goals.
For additional information please visit my homepage at www.MySantaCruzRealEstate.com.
Existing home sales increased in January
Lawrence Yun, NAR chief economist
Frank Nothaft, Freddie Mac vice president and chief economist